Halt to public vehicle registrations puts businesses, investors at risk: NCC

KATHMANDU: Nepal Chamber of Commerce (NCC) has warned that a sudden government order halting new registrations of public vehicles has put automobile businesses and investors at serious financial risk.

According to the NCC’s press release issued on Friday, the Department of Transport Management (DoTM) has "halted the registration of all public vehicles (including electric vehicles) until further notice with the objective of scientifically managing public vehicles." The chamber welcomed the aim of making public vehicle management more scientific and long-term, but criticised the abruptness of the move.

The NCC said hundreds of vehicles imported under letters of credit (LCs), financed through loans from various banks and financial institutions (BFIs), have already cleared customs and are in different stages of the registration process. Some vehicles are at transit points, while others have been manufactured and dispatched by producers according to orders, the statement said.

NCC warned that those vehicles, intended for public transport services, cannot be sold or repurposed easily, exposing businesspeople to potential losses and a severe financial crisis. It also cautioned that the decision could damage the credibility of Nepali importers and dealers with international manufacturers.

Recalling a similar disruption during the Covid19 pandemic, the NCC said another sudden halt would send a negative signal about Nepal’s business environment. Furthermore, the statement added that the measure will directly affect public transport services, employment, the automobile trade, bank investments, and government revenue collection.

Meanwhile, NCC President Kamlesh Kumar Agrawal urged the government to allow the registration and operation of vehicles already in the registration pipeline, in transit, or imported under pre-approved procedures. He also called for necessary coordination and consultation with the private sector and other stakeholders to adopt a practical, scientific and long-term policy.